41%
PAPERCLIP

Paperclip is a peer-to-peer marketplace for secondhand items with over 120,000 downloads on iPhone and Android. Users are able to add their unwanted items to the app in seconds, and they're instantly visible to other app users nearby to make offers to buy and swap. We're the first marketplace to offer combination offers of up to 3 items plus cash for other people's items, and we also facilitate freecycling. We're introducing Groups next month with our version 2.0 update - it's a gamechanger! Imagine you could create or join your own personal marketplace for your friends, family, flat or firm? Well now you can.

THE IDEA
Products & Services

Paperclip is a peer-to-peer marketplace for secondhand items, allowing you to buy, sell, swap and freecycle with others around you. Currently available on Android and iPhone in the UK with over 110,000 downloads.

Our key differentiators over incumbent competitors (eBay, Gumtree) and new competitors (Letgo, Shpock) are;

SOCIAL MARKETPLACES: Focus on 'making your own marketplace'- join/create your own private/public marketplace with your family, friends, university, apartment building or school

SWAPPING & FREECYCLING: We're the first marketplace to allow 'combination offers' of up to 3 items plus cash for other people's items, and we also facilitate freecycling

Problem Solved

There are many platforms tackling the secondhand item / under-used assets problem, but they're all focusing on 'putting classified ads in your pocket'.

The wider problem is that there are 200 million local buy/sell groups on Facebook, and over 200 million transactions are performed via these groups each month. This is a workaround solution; it has no end-to-end transaction, feedback and rating, or account verification process. Furthermore, just 9% of students felt comfortable sharing their secondhand buying and selling habits on Facebook - most people use Facebook to stay connected with friends and family around the world, NOT as a marketplace.

Paperclip is the solution.

Revenue Model

We have three revenue streams planned for the next 3 years. Each will be trialed and refined accordingly before rollout.

1. IN-APP PURCHASES (March 2017): microtransactions of between £0.49 and £4.99 for a range of extra features, such as premium listings, video listings and item boosts.

2. SPONSORED GROUPS (May 2017): allow commercial organizations to sponsor groups and push specific discounts and deals to their targetted group (eg. Domino's could sponsor the LSE Student Accommodation group)

3. E-COMMERCE FEES (January 2018): introduction of transaction services such as PayPal and a logistics services (such as CitySprint) would allow us to take a fee/commssion on any transaction

Exit Strategy

The application lifecycle will be between three and six years, at which point an exit route of the following nature would be considered.

- Sell majority stake to a venture capital or private equity firm
- Sell ownership of product to a relevant market incumbent (such as eBay,
- Sell ownership to new market entrants expanding into Europe (such as Letgo, Carousell)
- Sell ownership to relevant market leader looking to move into this space (such as Amazon, Facebook, Google)
- Continue as 'going concern' with growing revenue

The exit strategy will be decided at a future date and will focus on maximizing the potential for shareholder returns.

Minimum Target £ 60,000 Maximum Target £ 100,003 Minimum Investment £ 1,000 Maximum Investment £ 100,000
Share On Website Visit site Location PENARTH
Rewards

Rewards with a monetary value of over £1,000 can affect the amount of SEIS and EIS an investor can claim. If you are offering SEIS or EIS, then please keep the value of the rewards you’re offering below £1,000.

Gallery

The Idea

Products & Services

Paperclip is a peer-to-peer marketplace for secondhand items, allowing you to buy, sell, swap and freecycle with others around you. Currently available on Android and iPhone in the UK with over 110,000 downloads.

Our key differentiators over incumbent competitors (eBay, Gumtree) and new competitors (Letgo, Shpock) are;

SOCIAL MARKETPLACES: Focus on 'making your own marketplace'- join/create your own private/public marketplace with your family, friends, university, apartment building or school

SWAPPING & FREECYCLING: We're the first marketplace to allow 'combination offers' of up to 3 items plus cash for other people's items, and we also facilitate freecycling

Problem Solved

There are many platforms tackling the secondhand item / under-used assets problem, but they're all focusing on 'putting classified ads in your pocket'.

The wider problem is that there are 200 million local buy/sell groups on Facebook, and over 200 million transactions are performed via these groups each month. This is a workaround solution; it has no end-to-end transaction, feedback and rating, or account verification process. Furthermore, just 9% of students felt comfortable sharing their secondhand buying and selling habits on Facebook - most people use Facebook to stay connected with friends and family around the world, NOT as a marketplace.

Paperclip is the solution.

Revenue Model

We have three revenue streams planned for the next 3 years. Each will be trialed and refined accordingly before rollout.

1. IN-APP PURCHASES (March 2017): microtransactions of between £0.49 and £4.99 for a range of extra features, such as premium listings, video listings and item boosts.

2. SPONSORED GROUPS (May 2017): allow commercial organizations to sponsor groups and push specific discounts and deals to their targetted group (eg. Domino's could sponsor the LSE Student Accommodation group)

3. E-COMMERCE FEES (January 2018): introduction of transaction services such as PayPal and a logistics services (such as CitySprint) would allow us to take a fee/commssion on any transaction

Exit Strategy

The application lifecycle will be between three and six years, at which point an exit route of the following nature would be considered.

- Sell majority stake to a venture capital or private equity firm
- Sell ownership of product to a relevant market incumbent (such as eBay,
- Sell ownership to new market entrants expanding into Europe (such as Letgo, Carousell)
- Sell ownership to relevant market leader looking to move into this space (such as Amazon, Facebook, Google)
- Continue as 'going concern' with growing revenue

The exit strategy will be decided at a future date and will focus on maximizing the potential for shareholder returns.